TURKEY’S COMPETITIVENESS IN TERMS OF DETERMINANTS OF FDI: A COMPARISON WITH HUNGARY AND POLAND

Abstract

Foreign direct investments (FDI) have increased rapidly in the world especially after 1990s. Both developing and developed countries consider FDI as a source of capital and they compete with each other to get more FDI to their countries. In this context, the factors that make attractive the host country are becoming important to attract FDI. Determinants of FDI classified differently by economic, political and geographical in the literature. In this study, the economic factors determine FDI in Turkey (market size, labor costs, exchange rates, interest rates, economic growth rate, geographic location, infrastructure, taxes, etc.) will be investigated and compared with data of Hungary and Poland. As a result of this comparison, the factors attracting FDI and affecting the competitiveness of Turkey against to Hungary and Poland will be determined

Keywords

• Determinants of FDI, Turkey’s Competitiveness, Hungary, Poland

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